Assessing NCR Atleos (NATL) Valuation After Expanded PenAir Credit Union Partnership Expands Allpoint Network Reach

If you have been watching NCR Atleos (NATL), today’s expanded deal with PenAir Credit Union might make you pause and reconsider your next move. The company just inked a fresh agreement that sees PenAir broadening its use of the Atleos Allpoint Network to new geographies while also bringing Allpoint+ deposit-accepting ATMs into the mix. This is clear evidence that NCR Atleos’ solutions are in demand as financial institutions look to boost convenience and access for their members. For investors, this is yet another sign that Atleos continues to capture opportunities with strategic partners and expand its credit union footprint.

Stepping back, the company’s year has been far from idle. While short-term swings haven’t all pointed upward, NCR Atleos shares have climbed 35% over the past year, with momentum accelerating in recent months. The PenAir announcement follows a stretch highlighted by both new deployments and long-standing client relationships, helping to reinforce Atleos’ reputation in the financial tech landscape. There is an emerging theme of growing demand, but the key question is what that ultimately means for the company’s valuation and future expectations.

With shares rising and new wins stacking up, is NCR Atleos being overlooked by the market, or are investors already baking in future growth?

Most Popular Narrative: 13% Undervalued

According to the most widely followed narrative, NCR Atleos is currently trading at a significant discount to its fair value. Expectations for robust earnings growth and improved profitability are supporting a higher price target.

High recurring revenue mix (over 70% in Q2), significant productivity gains through AI-driven service optimization, and a rapidly scaling backlog are driving strong margin expansion and robust free cash flow. This underpins announced share buybacks and sustained EPS growth and suggests current valuation does not reflect enhanced long-term earnings power.

Curious what’s fueling this bullish outlook? The narrative contains a set of ambitious growth projections and margin expansion expectations. What underlying forecasts could make analysts so confident in a higher value for NCR Atleos? The answer might surprise you.

Result: Fair Value of $44.67 (UNDERVALUED)

Have a read of the narrative in full and understand what's behind the forecasts.

However, further acceleration in digital banking or consolidation among financial institutions could weaken NCR Atleos’ ATM-focused revenue growth story in the years ahead.

Find out about the key risks to this NCR Atleos narrative.

Another View: Market Signals Tell a Different Story

Looking at how the market values NCR Atleos compared to industry standards, the shares actually appear more expensive than many similar financial firms. Could the market be overestimating the company's near-term growth?

See what the numbers say about this price — find out in our valuation breakdown.

Stay updated when valuation signals shift by adding NCR Atleos to your watchlist or portfolio. Alternatively, explore our screener to discover other companies that fit your criteria.

Build Your Own NCR Atleos Narrative

If you think there’s more to the NCR Atleos story, or want to explore the numbers for yourself, you can build a custom narrative in just a few minutes and see your own view come to life. Do it your way.

A great starting point for your NCR Atleos research is our analysis highlighting 2 key rewards and 2 important warning signs that could impact your investment decision.

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This article by Simply Wall St is general in nature. We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned.

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